**************************************
GREENSPAN: FINANCIAL MESS WORST SINCE WWII...
Wall Street waits for next domino to fall...
FED GIVES ANOTHER QUARTER...
The Dollar Doomsayers...
WORTHLESS
Posted on 03/16/2008 3:37:09 PM PDT by Ernest_at_the_Beach
Bear Stearns was racing Sunday afternoon to sell itself to JPMorgan Chase for more than $2 billion, according to people involved in the talks. Meanwhile, Bear Stearns, whose solvency is in question, was also making preparations to file for bankruptcy protection as a backup plan should a deal not be reached, these people said.
A deal for Bear Stearns would end the independence of one of Wall Street’s most storied firms and help halt a sweeping panic that set in at the end of last week, causing Bear Stearns’s stock to swoon 47 percent on Friday. If an agreement is not reached and Bear Stearns files for bankruptcy, it could cause an even deeper global scare over the fate of the financial system.
The talks, which are being overseen by the Federal Reserve and the Treasury Department because of their potential effect on financial markets, are being rushed in the hopes of reaching a deal before stock markets open in Asia at 8 p.m. Eastern time.
(Excerpt) Read more at nytimes.com ...
Let's see, tomorrow......what will happen. If you hold financials, you may want to think twice. I would guess the market down 300 points within the first 15 minutes....where it goes from there I won't be able to observe due to the fact I will have evacuated my colon and be racing to the thrown to access the porcelin chair.
It really is unwinding faster than we might say.
Or should you immediately buy Morgan since it has a get out jail free card by the FED. Morgan Chase might be a quick in and out play, if you have the minerals to step up. I don't. I wonder where gold the PMs will move to.
This is frightening stuff.
$2.00 per share....what a deal.
see latest just above ...from NY Times...spinning maybe...?
Sounds like argument for Hillary/Obama’s Healthcare plan. If we don’t provide everyone Universal Healthcare, the Tax Payers end up paying more. So in long run wage garnishing would actually end up benefitting the Tax Payer.
“This NOT good. Any nominations for the next domino?”
Last week, I said that there would be a major bank go down...didn’t think it would happen this fast. Trust me there are medium and small sized regional banks and investment banks out there that followed the once lucrative BearStearns model.
More to come.
Yes, your are correct. Like the movie, “Twins” with Arnold and deVito, the twins are told by the doctor, Arnold you got all of the good genetic and devito....you got all of the shit left over. Now substitute JPMorgan-Chase for Arnold and the taxpayer is deVIto.
Either something was seriously wrong in the reporting of this story, or we're in the middle of a financial meltdown.
To many incompetent individuals running to many institutions at this point. Gotta hit the rack. 3:30AM comes soon. Work work work.
Best of luck with keeping the body together....
No doubt RB! No doubt. I’ve been predicting the fall of this house of cards for a while but now that it’s happening I’ve got to admit that I’m scared!! This fall will be epic unless something unforeseen stops it.
Right at $1015 right now!
Glad I bought more GLD Thursday and Friday.
Gold is up $15 in the last 25 minutes, the USDX last I saw had dropped to 71.3 and headed south. Silver was 20.82 about 10 minutes ago and rising, rapidly going toward 21.
“When dozens of smaller banks start going under as part of the ripple effect, millions of FDIC-insured account-holders will get their $100,000 from the taxpayer.”
Besides putting in danger the safety of the CDs that millions of us own.
Likelihood of 100 basis-point rate cut gaining a following (Fed rate cut)
***************EXCERPT INTRO *************
Calls for 1-point rate reduction grow louder
Bear Stearns shocker triggers forecasts for whopper cut to 2%
By Laura Mandaro, MarketWatch
Last Update: 7:52 PM ET Mar 14, 2008
SAN FRANCISCO (Menafn - MarketWatch) -- Expectations that Federal Reserve next week will cut rates by a full percentage point, to 2%, gained traction among economists and traders Friday after a bailout of Bear Stearns Cos. revealed more fault lines in the U.S. financial system.
**************************************
GREENSPAN: FINANCIAL MESS WORST SINCE WWII...
Wall Street waits for next domino to fall...
FED GIVES ANOTHER QUARTER...
The Dollar Doomsayers...
Feds are staving off a systemic financial crisis ... think of dominoes falling.... they have no choice.
But we have have a congress and a president that wants to give away billions to foreign governments? Disgusting.
THE SHAPE OF US POPULISM, Part 1
A rich free-market legacy - for some
By Henry C K Liu
*****************************EXCERPT***************************
The financial crisis that broke out in August 2007 has stirred a revival of the latent populism that had been effectively suppressed by blanket anti-left hysteria during the Cold War. Despite residual psycho-political phobia, such indigenous populism has been simmering upward from deep-freeze depths after two decades of debt-driven financial and trade globalization in the post-Cold War era. Globalization of deregulated trade and finance has produced spectacular wealth for an elite minority at the expense of the wage-earning majority even in boom time all over the world.
Income and wealth disparities have been the legacy of free market capitalism, dictated by the call of neo-liberal supply-side economic theory for concentration of wealth to achieve indispensable capital formation. While internationally, the United
States has been the clear beneficiary of "free trade" which dilutes the authority of national sovereignty to institute defensive protectionism, stagnant wages in the face of high corporate profits from outsourcing jobs overseas have left US workers in manufacturing worse off than their parents.
Will a 100 basis-point reduction have any effect now? Maybe for a day or so. I’m not comfortable being this bearish. However, I see no signs that the FED is addressing the problem: How do you stop people from walking away from their houses?
Washington Mutual to be purchased soon. Going down.
WAMU? By who?
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